I N S U R I N G I N V E S T M E N T S E N S U R I N G O P P O R T U N I T I E S

I N S U R I N G I N V E S T M E N T S E N S U R I N G O P P O R T U N I T I E S

MULTILATERAL INVESTMENT GUARANTEE AGENCY WORLD BANK GROUP

MIGA’s Role

MIGA is the entity within the World Bank Group that promotes developmentally sound foreign direct investment. It does this by providing political risk insurance (guarantees) to the private sector.


Why Promote FDI?

Job creation and provision of basic infrastructure “Freeing up” government resources for

spending in basic education, etc. But the majority of flows go to just a handful of

countries—leaving the world's poorest economies largely ignored….


MIGA’s Strategic Priorities

Insuring investments In IDA-eligible countries In conflict-affected environments In complex infrastructure projects From one developing country to another (South-

South)


Risks


Risks covered

Currency inconvertibility and transfer restriction Expropriation War and civil disturbance, including terrorism Breach of contract


Added Value for Investors

MIGA guarantees can help investors Access funding, and lower borrowing costs Access the WBG’s collective knowledge and

expertise Establish best practice in environmental and

social management Resolve disputes by leveraging the WBG

“umbrella” Mobilize and complement insurance capacity

from other public and private insurers through coinsurance and reinsurance


Disclosure

Summary of Proposed Guarantee Environmental and Social Review Summary Environmental Impact Assessment Project Brief


$115 million guarantee hydropower in Uganda


$427 million guaranteeport in Djibouti


$7.3 million guaranteeMoldova financial sector


Working with World Bank Group

Six strategic themes Contribution to Country Assistance/Partnership

Strategy Participation in specific projects with other Bank

group entities Specific initiatives Environmental and social standards, information

disclosure


4.36

0.130.42

1.05

2.28

5.20 5.255.08

6.5

5.19 5.10

Gross Exposure2008, US$ billion

US$20 billion issued

in close to 100

developing countries

since 1988

2008

5.40


Knowledge Agenda

Lack of knowledge and information about

investment environments and opportunities,

and perceptions of political risk often inhibit FDI

in the countries that need it the most.

www.FDI.net


www.pri-center.com


www.miga.org

Documents

I N S U R I N G I N V E S T M E N T S E N S U R I N G O P P O R T U N I T I E S